(A) The variable cost of one unit of product or service
(B) A principle whereby variable costs are charged to cost units and the fixed costs attributable to the relevant period are written-off in full against the contribution for that period
(C) Costs appropriate to aiding the making of specific management decisions
(D) The price at which material identical to that which is used up could be replaced on the date of usage
Category: Economics Mcqs
Users will find here Economics Mcqs for NTS, CSS, PMS, PPSC, FPSC, KPPSC, AJKPSC, BPSC, PTS, SPSC, Lecturer and all other types of Competitive Exams and Interviews. Economics students can prepare their Economics Portion for all test from here.
Under marginal costing :
(A) All costs are classified into two groups – variable and fixed
(B) Variable costs form part of the product cost and inventory valuation
(C) Fixed costs are treated as period costs
(D) All of the above
The methods of treating cost of small tools in cost accounts include :
(A) Charging to expense
(B) Charging to stores
(C) Capitalizing in a small tools account
(D) All of the above
Secondary packing expenses are:
(A) Part of prime cost
(B) Part of production overheads
(C) Part of distribution overheads
(D) Written-off to costing profit and loss account
Normal stores losses are :
(A) Part of prime cost
(B) Part of production overheads
(C) Part of selling and distribution overheads
(D) Written-off to costing and profit and loss account
Objectives of research and development costs include:
(A) Maintaining present competitive position
(B) Improving enterprise‘s competitive position
(C) Exploring now market/products
(D) All of the above
Interest on own capital is a:
(A) Cash cost
(B) Cash cost
(C) Sunk cost
(D) Part of prime cost
Obsolescence is the measure of the loss of value of an asset due to :
(A) Technological innovation
(B) Changes in market conditions
(C) Both (a) and (b) above
(D) None of the above